The Neal Estate Team's Victoria Real Estate Market Update for December 2018
by Ron Neal
on Wednesday, December 5th, 2018 at 4:20pm.
The trend of decreasing sales volume continued in November with a total of 498 properties sold, 17% fewer sales than in October and 26% fewer than the 671 sold in November of last year. Condo sales were down 31% and single family sales were down 21%. In the fall of 2017 the federal government announced the changes to mortgage lending rules which came into effect January 1, 2018 and led to a frenzy of activity in November and December 2017. Last months sales volume was just 3% lower than our 10 year average sales volume of 515 in November.
The MLS (Multiple Listing Service) HPI (Home Price Index) benchmark value for a single family home in the Victoria Core (Victoria, Vic West, Esquimalt, Oak Bay, Saanich and View Royal) was up 4% to $865,200 from $832,800 in November of 2017 but was down 2% from $881,000 in October. The benchmark for condominiums in the Victoria Core was up 10% to $500,500 from the previous November and down slightly from $502,600 in October.
The number of active listings available for sale was up 33% to 2,343 at the end of November compared to just 1,698 at the end of November 2017. That's also down 7% from October, a normal seasonal decline which should continue through December before picking back up in the New Year.
The new taxes, increasing mortgage rates and mortgage stress test continue to have more impact on the Vancouver which is definitely in a slump with sales down 18% in November from October and 42% compared to November of 2017. Their total sales of 1,606 in November for Metro Vancouver is also 35% below the 10 year average.
As always, the activity and movement in values varies tremendously by area, property type and price range. Activity in the Core remains stronger than other areas. The difference is especially noticeable with high end luxury homes which have been hit hardest by the Foreign Buyer and Speculation Taxes. At the end of November this year there were 268 properties listed for sale over $1,000,000 and 46 sold during the month, just shy of a 6 month supply. Outside the core there were 220 properties listed with VREB MLS for over $1,000,000 and just 15 sold in November, more than 14 month supply.
If you are considering a move, this season offers great opportunity as a seller with less competition than you can expect in the spring market. If you are considering a move in the near future, let's get started now with a "Maximum Price Estimate" and our complimentary "Prep For Sale" staging consultation to optimize your value and saleability, hit the ground running and beat the spring rush. Call or text 250.386.8181 now to arrange your FREE consultation, with no obligation of course.
Wishing you and yours a happy, healthy holiday season with much gratitude for your support and referrals. All the best in 2019 too!
The Neal Estate Team is your #1 source for all of your Victoria BC real estate needs. Get in touch with us online or by phone at (250) 386-8181 to speak with a Victoria real estate buying or selling expert today. With decades of experience as a top selling Victoria REALTOR® and ranked in top 1% globally with over 4,000 transactions and $1 Billion SOLD, Ron Neal & The Neal Estate Team have the industry experience and market knowledge to help you make smart and informed buying or selling decisions.